INVESTOR PRESENTATION October 2019 1 IMPORTANT NOTICE DISCLAIMER - - PowerPoint PPT Presentation

INVESTOR PRESENTATION

October 2019

IMPORTANT NOTICE

DISCLAIMER Certain statements included in this presentation contain forward-looking statements. All statements other than historical facts are forward-looking statements. Examples of forward-looking statements include those regarding the business, strategy and plans of KAZ Minerals PLC (‘KAZ Minerals’) and its current goals, assumptions and expectations relating to its future financial condition, performance and results, commodity demand and trends in commodity prices, growth

• pportunities, circumstances in the countries, sectors or markets in which it operates and any assumptions underlying or relating to any of the foregoing.

Although KAZ Minerals believes that the expectations reflected in such forward-looking statements are reasonable and are made in good faith, no assurance can be given that such expectations will prove to be correct. By their nature, forward-looking statements involve known and unknown risks, assumptions and uncertainties and other factors which are unpredictable as they relate to events and depend on circumstances that will occur in the future which may cause actual results, performance or achievements of KAZ Minerals to be materially different from those expressed or implied in these forward-looking statements. Principal risk factors that could cause KAZ Minerals’ actual results, performance or achievements to differ materially from those in the forward-looking statements include (without limitation) health and safety, community and labour relations, employees, environmental compliance, business interruption, new project construction and commissioning, reserves and resources, political risk, legal and regulatory compliance, commodity prices, foreign exchange and inflation, exposure to China, acquisitions and divestments, liquidity and such other risk factors disclosed in KAZ Minerals’ most recent Annual Report and

• Accounts. Forward-looking statements should therefore be construed in light of such risk factors. These forward-looking statements should not be construed

as a profit forecast. No part of this presentation constitutes, or shall be taken to constitute, an invitation or inducement to invest in KAZ Minerals, or any other entity, and shareholders are cautioned not to place undue reliance on the forward-looking statements. Except as required by the Listing Rules of the UK Listing Authority and applicable law, rule or regulation, KAZ Minerals undertakes no obligation to publicly update or change any forward-looking statements whether as a result of new information, future events or otherwise, to reflect events or new information occurring after the date of this presentation. Neither this presentation, which includes the question and answer session, nor any part thereof may be recorded, transcribed, distributed, published or reproduced in any form, except as permitted by KAZ Minerals. By attending this presentation, whether in person or by webcast or call, you confirm your agreement to the foregoing and that, upon request, you will promptly return any records or transcript of the presentation without retaining any copies. All financial definitions can be found in the glossary to the half-yearly results 2019 press release.

1

1

• 1. Introduction to

KAZ Minerals

3

2015 2018 2021 2024 2027

NEAR AND LONG TERM GROWTH IN COPPER

Proven track record Near term growth

► Achieved annual copper

production guidance for 10 years

► Low cost producer ► Bozshakol and Aktogay

delivered on time and on budget, ramped up successfully

► Adds 80 ktpa from 2022-27 ► Low risk brownfield

expansion

► Low capital intensity of

$15,000/t

► Increased earnings and

cash flow

► Enables financing of longer

term growth

>50% CAGR copper production 2015-18 Aktogay expansion project

Strong platform

Supports Baimskaya construction

Long term growth

► Strong NPV and

attractive IRR

► Favourable long

term copper fundamentals

INDUSTRY LEADING COST POSITION

4

1. Source: Company data, most recently reported financial period.

70 80 85 117 119 127 133 135 158 168 174 185 Peer 1 KAZ Peer 2 Peer 3 Peer 4 Peer 5 Peer 6 Peer 7 Peer 8 Peer 9 Peer 10 Peer 11

Net cash cost

USc/lb1

Diversified peer Copper peer

ALL ASSETS IN FIRST QUARTILE

1st quartile2 2nd quartile 3rd quartile 4th quartile 108 USc/lb $2,381/t

1. Conceptual representation as at 30 June 2019, not to scale. 2. Wood Mackenzie first quartile cut off 108 USc/lb, 30 June 2019.

H1 2019

80

USc/lb

5

USc/lb East Region & Bozymchak Bozshakol Aktogay

Net cash cost curve1

H1 2018 H1 2019 42 55 96 107 103 77 Group 80 82

100 70 100 120 90 120 Aktogay I Bozshakol Aktogay II Baimskaya

VALUE AND VOLUME

17,700 17,200 15,000 16,700 Aktogay I Bozshakol Aktogay II Baimskaya

Notes: 1. 2017 US dollar terms. 2. Approximate capital expenditure per ktpa copper equivalent production calculated as capital expenditure divided by forecast annual copper equivalent production for the first ten years after commissioning. 3. Net cash cost guidance in USc/lb for the first ten years of operations. Baimskaya operating costs subject to feasibility study.

Lower capital intensity

($/t)2

Low operating costs

(USc/lb)3 First quartile

Aktogay II and Baimskaya will significantly increase the Group’s copper production at a lower capital intensity than the previous major growth projects Economies of scale at Aktogay II will maintain cash costs at 100-1201 USc/lb out to 2027 Baimskaya is expected to be in the first quartile of the global cost curve Both projects offer significant NPV uplift and attractive IRR

6

Continued growth in copper production1, +6% Maintained low cost position, 80 USc/lb2 Volume growth partially offset 11% reduction in copper prices in H1 2019:

– Revenues $1,052 million

(H1 2018: $1,098 million)

– EBITDA3 $620 million

(H1 2018: $690 million) Group continues to develop its growth pipeline:

– Aktogay expansion project progressed, $223

million invested in H1 2019

– Completed acquisition of Baimskaya, one of the

world’s largest undeveloped copper deposits Interim dividend of 4.0 US cents declared

H1 2019 RESULTS HIGHLIGHTS

7

1. Payable metal in concentrate and copper cathode from Aktogay oxide ore. 2. Cash operating costs, plus TC/RC on concentrate sales, less by-product revenues, divided by copper sales volume. 3. EBITDA excludes MET, royalties and special items.

140 90 148 88 Copper Gold H1 2018 H1 2019

6% copper production1 growth

145 82 144 80 Gross cash cost Net cash cost H1 2018 H1 2019

Low unit costs maintained

USc/lb

2

koz

kt

• 2. Review of operations

15.3 Mt 18.9 Mt 0.61% 0.58%

9m 2018 9m 2019

Throughput (Mt) Grade (%)

AKTOGAY

9

1. Payable metal in concentrate and copper cathode from Aktogay oxide ore.

Full year guidance

• Copper production kt1

Sulphide ore throughput and grade

Q3 2019:

– 9.3 Mt sulphide ore extracted (Q2 2019: 8.2 Mt), additional

• re mined and stockpiled in preparation for Aktogay II

– 6.1 Mt sulphide ore processed, copper grade 0.60% (Q2

2019: 6.3 Mt, grade 0.59%)

– 5.6 Mt oxide ore to leach pads, grade 0.34% (Q2 2019: 5.0

Mt, grade 0.34%)

– Copper production 37.3 kt, in line with previous quarter

• Sulphide 30.6 kt (Q2 2019: 31.3 kt)
• Oxide 6.7 kt (Q2 2019: 6.1 kt)

Q4 output expected to be lower than Q3 due to seasonally lower oxide production and scheduled mill maintenance at sulphide plant Full year copper production now expected to be at the upper end of guidance range, 130-140 kt

37 37 37

130 140 111 Q1 Q2 Q3 Q4

Aktogay open pit June 2019

BOZSHAKOL

11

1. Payable metal in concentrate.

Copper kt1 Gold koz1 Silver koz1

• Full year guidance
• Q3 2019:

– Ore processing increased by 30% to 8.4 Mt (Q2 2019: 6.4

Mt), as both plants operated without major scheduled maintenance

– Copper grade increased to 0.50% (Q2 2019: 0.46%), in line

with the mine plan

– Copper production increased by 38% to 32.1 kt – Gold production increased by 47% to 43.4 koz, supported by

higher gold grade 0.28 g/t (Q2 2019: 0.25 g/t) Q4 ore throughput expected to be lower due to scheduled maintenance Copper production on track to achieve full year guidance Gold production on track to achieve upper end of full year guidance of 130-140 koz

24 23 32

79 105 115 Q1 Q2 Q3 Q4

30 30 43

130 140 103 Q1 Q2 Q3 Q4

169 165 233

c.700 567 Q1 Q2 Q3 Q4

Bozshakol open pit July 2019

EAST REGION AND BOZYMCHAK

13

Copper kt1 Gold koz1 Zinc kt2

1. Payable metal in concentrate. 2. Zinc in concentrate.

Q1 45 Q1 Q2 29 Q2 40

• Silver koz1

c.1,800 1,513 Q1 Q2 Full year guidance

Q3 2019:

– 1.0 Mt ore processed, copper grade 1.62% (Q2 2019: 1.2

Mt, grade 1.68%)

– Copper production reduced to 13.5 kt, mainly due to lower

processing volumes and grades at East Region

– Gold production increased by 4% to 14.4 koz due to

higher grades and recovery rates (Q2 2019: 13.9 koz) On track to achieve full year copper production target of around 55 kt

– Gold production expected to exceed the upper end of 40-

45 koz guidance

– Silver production expected to exceed guidance of c.1,800

koz

– Zinc output on track to achieve full year guidance of

40-45 kt

9 17 14

c.55 40 Q1 Q2 Q3 Q4

13 14 14

40 45 41

• Q3

Q4

314 616 583

Q3 Q4

6 12 11

Q3 Q4

2019 GROUP PRODUCTION GUIDANCE

14

Copper1

kt

Zinc4

kt

Gold3,5

koz

Silver3

koz

1. Payable metal in concentrate and copper cathode from Aktogay oxide ore. 2. Range includes c.25 kt of cathode production from oxide ore. 3. Payable metal in concentrate. 4. Zinc in concentrate. 5. Minimal volume of gold recovered from Aktogay material.

Aktogay

130 – 1402 c.500

Bozshakol

105 – 115 130 – 140 c.700

East Region & Bozymchak

c.55 40 – 45 40 – 45 c.1,800

Group

c.300 40 – 45 170 – 185 c.3,000

37 37 37 24 23 32 9 17 14 70 78 83 30 30 43 13 14 14 43 44 59 143 145 128 169 165 233 314 616 583 626 926 944 6 12 11 6 12 11

–

2

• 3. H1 2019 results

Two fatalities in July 2019 at East Region underground mines

– Maintained zero fatalities track record at all open

pit operations Material reduction in injury rate indicates general improvement in workplace safety “Goal Zero” initiative launched in H1 2019

– Group-wide programme to achieve zero fatal

incidents and lost time injuries

HEALTH AND SAFETY

16

1. Total Recordable Injury Frequency Rate or TRIFR is the number of Recordable Injuries occurring per million hours worked. 2. International Council on Mining and Metals.

2.00 0.99 H1 2018 H1 2019

ICMM2 average 2018: 3.41

33 21 H1 2018 H1 2019

Total Recordable Injuries Total Recordable Injury Frequency Rate1

Ramp up of new open pit assets has significantly reduced the Group’s CO2 emissions intensity Consumption of fresh water is declining as the quantity reclaimed from tailings increases

– KAZ Minerals does not operate in water stressed

areas CO2 intensity is set to improve further:

– Aktogay II will generate economies of scale – Large scale Baimskaya project will draw power

from carbon free sources

IMPROVED ENVIRONMENTAL PERFORMANCE

17

0.200 0.094 0.051 0.049 0.050 2015 2016 2017 2018 H1 2019 181 212 190 146 92 2015 2016 2017 2018 H1 2019

CO2

Emissions per unit of ore processed (kt)

Water

Withdrawal per unit of copper produced (megalitres/kt)

Production-driven 3% increase in copper sales volumes, partially offset 11% lower LME price H1 2019 EBITDA of $620 million, 59% margin Industry leading first quartile net cash cost2 of 80 USc/lb (H1 2018: 82 USc/lb) New $600 million debt facility signed with DBK to finance Aktogay expansion in June 2019 Interim dividend of 4.0 US cents per share declared Net debt $2,635 million at 30 September (30 June 2019: $2,560 million)

FINANCIAL UPDATE

18

$m (unless otherwise stated) H1 2019 H1 2018 Revenues 1,052 1,098 EBITDA1 620 690 Margin (%) 59 63 Net cash cost (USc/lb)2 80 82 Free Cash Flow3 182 308 Basic EPS – based on Underlying Profit ($)4 0.48 0.62 Net debt (2,560) (2,052)

1. Excluding MET, royalties and special items. 2. Cash operating costs, plus TC/RC on concentrate sales, less by-product revenues, divided by copper sales volume. 3. Net cash flow from operating activities before capital expenditure and VAT associated with the major growth projects, less sustaining capital expenditure. 4. Basic EPS based on Underlying Profit excluding special items.

(25) (3) (15) (74) (12) 690 40 19 620 EBITDA H1 2018 Aktogay Bozshakol East Region and Bozymchak By-product volume Cost impact² Copper price By-products price EBITDA H1 2019

EBITDA RECONCILIATION

19

Increased copper and gold sales volumes partially offset the reduction in commodity prices

($m)

1. Change in sales volumes at current year margin. 2. Net change in cash costs per tonne.

Volume1 Commodity prices Copper

19

OPERATING COST DETAIL

Bozshakol

50 45 H1 2018 H1 2019 127 157 42 (115) H1 2018 H1 2019 H1 2019

Net cash cost of 42 USc/lb includes 21 USc/lb by- product credit from 26 koz gold inventory sale Gross cash cost of 157 USc/lb includes 13 USc/lb costs associated with inventory sale H2 2019 gross cash cost expected to trend lower due to higher grades and increased contribution from clay plant Volume-driven decrease in gross cash costs to 101 USc/lb Additional maintenance shutdowns planned, costs expected to move into guidance range in H2 2019 Aktogay

61 72 H1 2018 H1 2019 109 101 96 (5) H1 2018 H1 2019 H1 2019

20

Copper sales volumes (kt) Gross cash cost (USc/lb) Net cash cost (USc/lb) By-product credit (USc/lb)

FY2019 gross cash cost guidance 130-150 USc/lb FY2019 gross cash cost guidance 105-125 USc/lb

141 144 H1 2018 H1 2019

OPERATING COST DETAIL (CONT’D)

East Region & Bozymchak

30 28

H1 2018 H1 2019 250 236 103 (133) H1 2018 H1 2019 H1 20192

Cost reduction initiatives and weaker tenge delivered lower gross cash costs in H1 2019 Full year gross cash cost guidance reduced by 30 USc/lb to 230-250 USc/lb Net cash cost increase in H1 2019 (H1 2018: 77 USc/lb) mainly due to lower zinc volumes, which are guided to increase in H2 2019 Gross cash cost in line with prior year period Net cash cost amongst the lowest of copper producers globally Group

145 144 80 (64) H1 2018 H1 2019 H1 2019

21

FY2019 gross cash cost updated guidance 230-250 USc/lb1

1. Gross cash cost guidance reduced to 230-250 USc/lb from previous guidance of 260-280 USc/lb.

Copper sales volumes (kt) Gross cash cost (USc/lb) Net cash cost (USc/lb) By-product credit (USc/lb)

620 29 (1,986) (131) (126) (105) (66) (332) (435) (28) (2,560) Net debt¹ 31 Dec 2018 EBITDA Working capital increase MET and CIT paid Net interest paid Sustaining capex Expansionary capex and new project Acquisition of Baimskaya² Dividends paid Other movements³ Net debt¹ 30 June 2019

22

MOVEMENT IN GROUP NET DEBT

1. The excess of borrowings over cash and cash equivalents and current investments. 2. Net of $1 million cash acquired. 3. Includes $45 million receipt in respect of NFC’s equity investment in Koksay, VAT associated with major growth projects, foreign exchange and other movements.

($m)

Sustaining capex

FY 2019 Guidance HY 2019 Actual Bozshakol 50 25 Aktogay 50 21 East Region & Bozymchak 50 20 Total 150 66

Expansionary capex

FY 2019 Guidance FY 2019 Updated Bozshakol 40 40 Aktogay I & II 470 570 East Region & Bozymchak 70 70 Total 670 850 HY 2019 Actual 37 255 15 332 Baimskaya 70 150 23 Other 20 20 2 Change in inventories (87) Change in prepayments and other current assets (22) Change in trade and other payables and provisions (22) Total (131)

Gross cash cost

(USc/lb)

Aktogay

105-125

Bozshakol

130-150

East Region

230-250

& Bozymchak

2019 FINANCIAL GUIDANCE

23 Expansionary capex

($ million)

Aktogay I & II2

570

Bozshakol3

40

East Region

70

& Bozymchak4 Baimskaya5

150

Other

20

Group

850

Sustaining capex

($ million)

Aktogay1

50

Bozshakol1

50

East Region

50

& Bozymchak1 Group

150

1. Includes $10 million of sustaining capital expenditure deferred from 2018. 2. Includes $500 million for Aktogay II and $70 million for Aktogay I, of which $50 million was carried over from 2018, mainly for final stage of heap leach cells.. 3. Bozshakol final retention payments to contractors of c.$40 million carried over from 2018 and settled in H1 2019. 4. Principally Artemyevsky underground mine extension, includes $10 million carried over from 2018. 5. Includes $70 million for feasibility study and $80 million for pioneer works in H2 2019.

100 30 80

23

Group continues to invest in value-accretive growth in copper $436 million cash consideration paid for Baimskaya in H1 2019 $332 million invested into growth projects in H1 2019, primarily Aktogay ($255 million) New $600 million DBK facility signed, $260 million drawn as at 30 September 2019 and $340 million to be drawn 2019-20 Cash and cash equivalents of $601 million as at 30 September 2019 Gross debt reduced to $3,236 million as at 30 September 2019

CAPITAL ALLOCATED TO GROWTH

24

350 236 H1 2018 H1 2019

Net cash flows from operating activities

($ million)

601 (3,236) (2,635) Cash and cash equivalents Borrowings Net debt

Net debt as at 30 September 2019

($ million)

• 4. Aktogay

expansion project

Aktogay II is a $1.2 billion project approved in December 2017 to double sulphide processing capacity from 25 to 50 Mtpa Low risk project, benefits from existing site infrastructure and identical concentrator design to Aktogay I and Bozshakol First production expected in 2021, ramp up in 2022 Adds c.80 kt of annual copper production from 2022-27 and c.60 kt from 2028 onwards Net cash cost guidance 100-120 USc/lb1 Accelerated processing reduces mine life from 56 to 27 years

LOW RISK NEAR TERM GROWTH

26

1. Net cash cost guidance in USc/lb for the period 2022-27 in 2017 US dollar terms.

Aktogay expansion project, June 2019

Net cash costs to 2027 expected to be maintained at 100-120 USc/lb1 Operating cost efficiencies from larger scale mining

• perations offset the effect of accelerated grade

decline, as processing volumes are brought forward Sustaining capital expenditure estimated to increase from $30-$40 million to $50-$60 million per annum from 2022

AKTOGAY GUIDANCE SUMMARY

27

1. 2017 US dollar terms. 2. Sulphide ore.

Copper processing grade profile2 12 months to 31 December 2018, supergene enriched 2019 – 2021 Aktogay I 2022 – 2027 Aktogay I and Aktogay II Life of mine sulphide resource grade

0.33%

c.0.40% c.0.50%

0.61%

H1 2019 key milestones Grinding and flotation foundations Progress concentrator structural steel Commence mining fleet commissioning Commence crusher foundations Other major project milestones Permanent camp upgrade and mine maintenance facilities Overland conveyor Enclose concentrator building Complete mill installation First ore processed

AKTOGAY II ON SCHEDULE

28

Aktogay II construction, June 2019

Status:

✓ ✓ ✓ ✓

Commenced Commenced 2021 2020 Q4 2019

29

AKTOGAY II CAPEX GUIDANCE

204 223 277 400 100 FY 2018A H1 2019A H2 2019E 2020E 2021E

($m)

2021 capex reduced by $100 million $100 million capex brought forward into H2 2019

$1.2 billion budget maintained $100 million rephased into 2019 to further de-risk the delivery of the project

30

AKTOGAY II EXPANSION PROJECT PLAN

Notes: 1. Indicative.

Aktogay I existing concentrator Aktogay expansion project

31

Aktogay II sulphide concentrator, June 2019

32

Aktogay mining fleet upgrade: Caterpillar 793D haul truck

• 5. Baimskaya

copper project

BAIMSKAYA PROJECT OVERVIEW

34

The Group acquired the Baimskaya copper project for $900 million in cash and shares in January 2019

– $675 million Initial Consideration plus Deferred

Consideration of $225 million Indicative $5.5 billion nominal capex budget 2018-261 60 Mtpa ore processing capacity, c.25 year mine life Average annual production2 of 250 kt copper and 400 koz gold, copper equivalent 330 ktpa3 First quartile net cash costs over life of mine, higher grades in first ten years of operations Potential for resource expansion in c.1,300 sq. km licence area

1. In nominal terms based on 100% share of development capital expenditure, subject to confirmation in feasibility study. 2. Average for first ten years of operations, based on 100% share of production. 3. Assuming analyst consensus long term copper price of 6,700 $/t and gold price of 1,300 $/oz.

Licence area Mineral trend Peschanka deposit Baimskaya

10 km

Baimka mineral trend and licence area

GLOBALLY SIGNIFICANT COPPER RESOURCE

35

42.2 37.0 27.3 26.7 24.1 22.0 15.2 15.0 13.6 13.4 13.0 10.8 9.5 7.7 7.2 7.1 6.9 5.5 4.6 Kamoa Kakula Pebble Resolution Udokan Reko Diq La Granja Tampakan El Pachon Quellaveco Los Azules Taca Taca Cascabel Baimskaya (Peschanka) Vizcachitas Michiquillay Rio Blanco Aktogay Galore Creek Bozshakol

Possible project Under construction KAZ Minerals asset

Mineral Resources (Mt copper)1

1. Source: Company data. Mineral Resources include Measured and Indicated Resources (bottom bar) and Inferred Resources (top bar).

The Peschanka deposit in the Baimskaya licence area ranks in the top 10 undeveloped greenfield copper projects globally

A bankable feasibility study is being conducted by Fluor Corporation and is due to be completed in H1 2020 Preliminary discussions on financing continue Partnering options to be assessed Existing TASED zone expanded to include Baimskaya licence area $80 million of capital expenditure approved for pioneer works in H2 2019:

– Camp, fuel storage, landing strip and site power

infrastructure

– Total 2019 capex guidance now $150 million,

including $70 million feasibility study costs

PROJECT PROGRESSING

36

Landing strip Airfield access road Tailings 110 kV power line (Pevek) Ore body Construction camp 110 kV substation Crusher Concentrator 220 kV Pioneer works

Project site plan

INFRASTRUCTURE BEING DELIVERED

Power Government funded 110 kV Bilibino-Baimskaya power line on schedule to be completed by end of 2019, 90% of pylons erected Floating nuclear facility ‘Akademik Lomonosov’ scheduled to begin transfer from Murmansk to Pevek at the end of August 2019 220 kV Magadan power line, state financing allocated to commence construction Road Construction of government financed all-season Omolon-Anadyr highway progressing Financing allocated for 250 km section from Baimskaya to Ilirney Shipping Rosatom 2024 cargo target for Northern Sea Route raised to 93 Mt

37

Pevek Bilibino Magadan Copper concentrate transported by sea to Asian markets

Shipping Power Road

220 kV power Baimskaya 110 kV power

Baimskaya

Pevek

Existing motor roads / winter roads with extended life All-season "Magadan-Anadyr" highway (under construction) All-season highway (completed)

Ilirney

100 km completed section 250 km Baimskaya - Ilirney construction to commence in 2019

Omolon Anadyr

110 kV power line and transformer August 2019

Completed bridge at Ilirney August 2019

Floating nuclear power facility ‘Akademik Lomonosov’ Murmansk, August 2019

• 6. Platform for growth

KAZ Minerals continues to deliver strong operational and financial results from its high quality existing assets Group is well equipped to navigate copper price fluctuations, with amongst the lowest operating costs of copper miners globally Operating cash flow and new $600 million DBK financing supports investment in copper growth pipeline Near term growth from Aktogay II is low risk and is progressing on schedule and within budget The strengthened platform post Aktogay II start-up will support investment into the transformational Baimskaya growth project

PLATFORM FOR GROWTH

43

APPENDIX

SUMMARY INCOME STATEMENT

$m (unless otherwise stated) H1 2019 H1 2018 Revenues 1,052 1,098 Cost of sales (533) (533) Gross profit 519 565 Operating profit 410 464 Net finance costs (121) (109) Profit before taxation 289 355 Income tax expense (62) (79) Profit for the period 227 276 EPS based on Underlying Profit ($) - basic 0.48 0.62

Key line items

81% 3% 14% 2% Copper Zinc Gold Silver

H1 2019 revenues split by product

45

REVENUES AND SALES VOLUMES

1. Payable metal in concentrate sold. 2. After the deduction of processing charges.

$m H1 2019 H1 2018 Copper cathode 400 342 Copper in concentrate 449 560 Zinc in concentrate 31 60 Gold 73 33 Gold in concentrate 70 72 Silver 17 19 Silver in concentrate 8 7 Other 4 5 Total revenues 1,052 1,098

Revenues

kt (unless otherwise stated) H1 2019 H1 2018 Copper cathode 64 50 Copper in concentrate1 80 91 Zinc in concentrate1 17 27 Gold (koz) 56 25 Gold in concentrate (koz)1 52 56 Silver (koz) 1,124 1,116 Silver in concentrate (koz)1 495 438

Sales volumes

H1 2019 H1 2018 Copper cathode ($/t) 6,211 6,916 Copper in concentrate ($/t)2 5,616 6,135 Zinc in concentrate ($/t) 1,801 2,255 Gold ($/oz) 1,305 1,314 Gold in concentrate ($/oz)2 1,343 1,296 Silver ($/oz) 15.1 16.6 Silver in concentrate ($/oz)2 15.4 16.1

Average realised prices

H1 2019 H1 2018 Copper ($/t) 6,165 6,917 Zinc ($/t) 2,732 3,268 Gold ($/oz) 1,307 1,318 Silver ($/oz) 15.2 16.7

LME and LBMA Prices

46

47

(11)% (16)% Copper Zinc

($m) Average LME HY 2019 vs HY 2018

(1)% (9)% Gold Silver

Average LBMA HY 2019 vs HY 2018

1,098 62 (27) (14) 19 (74) (12) 1,052 Revenues H1 2018 Aktogay Bozshakol East Region and Bozymchak By-product volume Copper price By-product price Revenues H1 2019 Volume Commodity prices

Volume growth offsets decrease in commodity prices ($m)

By-products volume ($m) Gold 33 Silver 1 Zinc (17) Other 2

REVENUE RECONCILIATION

CASH FLOW

1. EBITDA excludes MET, royalties and special items. 2. The difference between ‘net cash flow from operating activities before capital expenditure and VAT associated with major growth projects’ and ‘net cash from operating activities’ as reflected on the Group cash flow statement, is the net VAT (paid)/received on the construction of the major growth projects.

$m H1 2019 H1 2018 EBITDA1 620 690 Working capital movements (131) (57) Interest paid (117) (112) MET and royalties paid (97) (111) Income tax paid (29) (60) Foreign exchange and other movements 2 (3) Net cash flows from operating activities before capital expenditure and VAT associated with major growth projects2 248 347 Sustaining capital expenditure (66) (39) Free Cash Flow 182 308 Expansionary and new project capital expenditure (332) (325) Acquisition of Baimskaya copper project, net of cash acquired (435)

• Net VAT paid/(received) associated with major growth projects2

(12) 3 Proceeds from disposal of property, plant and equipment 1

• Interest received

12 14 Dividends paid (28)

• Other investments

45

• Other movements

(1) (1) Cash flow movement in net debt (568) (1)

48

SUMMARY BALANCE SHEET

$m H1 2019 2018 H1 2018 Non-current assets 4,169 2,897 3,125 Cash and cash equivalents and current investments 739 1,469 1,653 Other current assets 786 674 670 Total 5,694 5,040 5,448

Assets

$m H1 2019 2018 H1 2018 Equity 1,776 1,054 1,198 Borrowings 3,299 3,453 3,705 Other liabilities 619 533 545 Total 5,694 5,040 5,448

Equity & liabilities

$m H1 2019 2018 H1 2018 Intangible assets 6 6 7 Tangible assets 3,762 2,562 2,840 Other non-current assets 355 301 216 Deferred tax asset 46 28 62 Total 4,169 2,897 3,125

Non-current assets

$m H1 2019 2018 H1 2018 Cash and cash equivalents and current investments 739 1,469 1,653 Less: restricted cash

• (2)
• Borrowings

(3,299) (3,453) (3,705) Long-term (2,759) (2,914) (3,187) Short-term (540) (539) (518) Total (2,560) (1,986) (2,052)

Net debt

49

DEBT FACILITIES

50

1. Drawn amount excludes arrangement fees.

Facility Maturity and interest rate Balance as at 30 June 20191 CDB Bozshakol/ Bozymchak Final maturity 2025 $ LIBOR + 4.5% Semi-annual principal and interest payments Fully drawn – $1,265 million Balance sheet covenant CDB Aktogay Final maturity 2029 $ LIBOR + 4.2% (USD facility) PBoC 5 year (RMB facility) USD facility - semi-annual principal and interest payments RMB facility - semi-annual principal and quarterly interest payments Fully drawn – $1,284 million Balance sheet covenant DBK Aktogay I Final maturity 2025 $ LIBOR + 4.5% Semi-annual principal and interest payments (USD) Fully drawn – $257 million Balance sheet covenant DBK Aktogay II Final maturity 2034 $ LIBOR + 3.9% First repayment due three years after the date of first drawing Semi-annual principal and interest payments (USD) $600 million facility - $120 million drawn New $600 million facility signed on 14 June 2019 $480 million expected to be drawn 2019-2020 Balance sheet covenant PXF Final maturity 2021 Margin based on net debt/EBITDA ratio

• between $ LIBOR +3.0% to 4.5%

Monthly interest payments and principal repayments to June 2021 Fully drawn – $400 million $600m PXF signed in June 2017

• Extended final maturity by 2.5 years to June 2021
• Monthly principal repayments from July 2018

Income statement covenant

50

DEBT REPAYMENT PROFILE

272 272 545 445 368 137 H1 2019A H2 2019 2020 2021 2022-25 2026-29 PXF DBK Aktogay II DBK Aktogay I CDB Aktogay CDB Bozshakol/Bozymchak Repayment Profile1 ($m)

1. Based on drawn debt facilities at 30 June 2019. 2. Average debt repayments per annum. 2 2

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GUIDED CAPITAL EXPENDITURE

52

32 38 223 277 400 100 37 15 55 60 60 23 127 2 21 332 518 460 160 H1 2019A H2 2019 2020 2021 Expansionary capex ($m)1 Aktogay II Aktogay I Bozshakol East Region & Bozymchak Other Baimskaya

1. Approved projects only. Further guidance on Baimskaya will be provided following completion of the feasibility study.

Baimskaya’s capex guidance for 2019 increased to $150 million, with $80 million approved for pioneer works and on-site infrastructure in H2 2019 Aktogay II capex rephased, with $100 million of capital expenditure into 2019 to further de-risk the delivery of the project

GROUP CASH COST RECONCILIATION

53

$m (unless otherwise stated) H1 2019 H2 2018 H1 2018 H2 20171 H1 20171 2018 20171 Copper sales volumes (kt) 144 155 141 141 115 296 256 Revenues 1,052 1,064 1,098 942 721 2,162 1,663 EBITDA2 (620) (620) (690) (609) (429) (1,310) (1,038) Pre-commercial production

• 38

40

• 78

Corporate costs and other adjustments (20) (13) (15) (15) (10) (28) (25) TC/RCs on concentrate sales 47 58 57 53 45 115 98 Gross cash cost 459 489 450 409 367 939 776 Gross cash cost (USc/lb) 144 143 145 132 144 144 138 By-product credits (203) (187) (194) (201) (205) (381) (406) Net cash costs 256 302 256 208 162 558 370 Net cash cost (USc/lb) 80 88 82 67 64 85 66

1. Includes the results of pre-commercial production. 2. EBITDA excludes MET, royalties and special items.

1,376 1,923 1,289 1,203 1,325 2015 2016 2017 2018 H1 2019 0.200 0.094 0.051 0.049 0.050 2015 2016 2017 2018 H1 2019 10.8 10.3 8.3 8.8 9.4 2015 2016 2017 2018 H1 2019 180.7 212.4 190.4 145.6 91.7 2015 2016 2017 2018 H1 2019 0.86 0.46 0.24 0.22 0.22 2015 2016 2017 2018 H1 2019

INCREASING EFFICIENCY REDUCES ENVIRONMENTAL IMPACTS

CO2 emissions per unit of copper (kt) CO2 emissions per unit of ore processed (kt) CO2 emissions per $ million revenue (t) Water withdrawal per unit of copper produced (megalitres/kt)

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Energy consumption (TJ / kt of ore processed)

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TAILINGS FACILITIES

Facility Status Type

Bozshakol Aktogay Bozymchak Downstream Downstream Dry stack

First construction

2016 2017 2014 Active Active Active

Expected closure date

2058 2045 2032 East Region Zhezkentsky Nikolayevsky Belousovsky Upstream Upstream Upstream 1989 1980 1949 Active Active Active 2026 20201 Under review

1. Artemyevsky mine transitioning in 2020 to in-pit tailings disposal in the Nikolayevsky open pit.

2015 2018 2021 2024 2027 2030 2033 2036 East Region & Bozymchak Bozshakol Aktogay I (sulphide and oxide) Aktogay II Baimskaya

HIGH GROWTH PORTFOLIO

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Group copper production 2027-2036 of c.500 ktpa Baimskaya – long term growth from 2026

Notes: Indicative production schedule, not to scale. Assumes 100% ownership, first production from Baimskaya in 2026 and ramp up from 2027. Actual construction timetable to be determined during feasibility study.

Aktogay II – low risk brownfield project, delivers +80 ktpa 2022-2027 Bozshakol and Aktogay delivered >50% CAGR, 2015-18

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MINERAL RESOURCES SUMMARY - 31 DEC 2018

Artemyevsky Irtyshsky Orlovsky Bozymchak Aktogay sulphide Aktogay

• xide

Bozshakol sulphide Bozshakol clay Resources1 (kt) 19,9972 3,878 11,844 14,843 1,558,110 73,969 902,650 116,830 Copper grade (%) 2.05 2.25 3.29 0.78 0.33 0.37 0.36 0.44 Zinc (%) 4.53 5.28 4.53

• Gold grade (g/t)

1.03 0.38 0.86 1.31

• 0.14

0.20 Silver grade (g/t) 94 92 46 8.2

• 1.1

1.3 Molybdenum grade (%)

• 0.008
• 0.008

0.006 Type of mine

Underground Underground Underground Open pit / underground Open pit Open pit

Concentrator

Nikolayevsky Belousovsky On-site On-site On-site On-site

Description

Mine with polymetallic ore,

• perating since

2005 Irtyshsky has been

• perating

since 2001 Orlovsky is the largest mine in East Region by copper metal in

• re extracted

Bozymchak is located in Kyrgyzstan Large scale mine, located in East Region of Kazakhstan. Commenced production of copper cathode from

• xide ore in December 2015 and

copper in concentrate from sulphide

• re in February 2017

Large scale mine, located in Pavlodar Region of Kazakhstan. Commenced production of copper in concentrate from sulphide ore in February 2016 Notes: 1. Measured and indicated as at 31 December 2018. 2. Includes Artemyevsky II expansion.

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PESCHANKA DEPOSIT MINERAL RESOURCES

Measured Indicated Inferred Total Mineral resources Mt 139 1,289 774 2,202 Copper grade % 0.72 0.44 0.36 0.43 Contained copper Mt 1.0 5.7 2.8 9.5 Gold grade g/t 0.39 0.26 0.16 0.23 Contained gold Moz 1.7 10.8 4.0 16.5 Silver grade g/t 4.0 2.4 2.0 2.4 Molybdenum grade ppm 140 120 90 110

Existing motor roads / winter roads with extended life Existing winter roads All-season "Magadan-Anadyr" highway (under construction) All-season highway (completed) Gold mine

Anuysk Kupol Kinross Kayen Highland Gold Exploration & development ANADYR Valunisty Highland Gold Klen Highland Gold Exploration & development The Sakha Republic (Yakutia) Magadan Region OMOLON

100 200 km

Krasnoarmeisky Komsomolsky PEVEK CHERSKY

BILIBINO

Karalveem

Baimskaya

Mayskoye Polymetal Kekura Highland Gold Exploration & development ILIRNEY

250 km Baimskaya - Ilirney construction to commence in 2019 100 km completed section

SENIOR MANAGEMENT

60

Oleg Novachuk, Chair

Joined the Company in 2001, former Chief Executive and was appointed Chair on 1 January 2018, with responsibility for strategy, government relations and business development.

Eldar Mamedov, General Director, KMM LLP

Joined the Company in 1996, former Head of Legal and was appointed as General Director of the KMM LLP in 2014, with responsibility for government relations, legal, procurement and administration.

Andrew Southam, Chief Executive Officer

Joined the Company in 2006, former Chief Financial Officer and was appointed Chief Executive Officer on 1 January 2018, with responsibility of executive management of the Group and leading the senior management team in the day to day running

• f the business.

Madina Kaparova, Group Procurement Director

Joined the Company in 1998 and was appointed Group Procurement Director in 2016, with responsibility for development and implementation of procurement strategy.

John Hadfield, Chief Financial Officer

Joined KAZ Minerals in November 2017 as Deputy Chief Financial Officer and was appointed Chief Financial Officer on 1 January 2018.

Sergey Leu, General Director, Bozshakol

Joined KAZ Minerals in August 2016 as General Director

• f Bozshakol with responsibility for management of

Bozshakol operations.

Mian Khalil, General Director, Projects

Joined the Company in 2010, with responsibility for construction of major growth projects, Aktogay and Bozshakol and is currently focused on the Aktogay expansion project and Baimskaya (Peschanka) copper project in Chukotka, Russia.

Ilsur Dautov, General Director, East Region

Appointed General Director of the East Region in March

• 2014. Responsible for the management of East Region
• perations.

Philip Welten, General Director, Aktogay

Joined KAZ Minerals in 2018 as General Director of Aktogay, with responsibility for management of Aktogay operations.

Ilyas Tulekeev, General Director, Bozymchak

Joined KAZ Minerals in 2006 and was appointed General Director of Bozymchak in 2011, with responsibility for management of Bozymchak operations.

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RESTRUCTURING OCTOBER 2014

Disposal Assets

Copper and other metals Coal mines Captive Power

KAZ Minerals

Growth projects Copper and other metals

KAZ Minerals PLC 6th Floor, Cardinal Place 100 Victoria Street London SW1E 5JL UK www.kazminerals.com